VA Loans
VA or Veterans Affairs Loans are loans that are guaranteed by the U.S. Department of Veterans Affairs. These loan programs are offered to active, discharged, and surviving spouses of U.S. Service Members. It allows for 100% financing, no mortgage insurance, and typically offers lower rates than conventional loans.
Funding Fee: A percentage of the loan (financing available)
Flexible income qualification (compared to conventional)
Example scenario
Bill served four years of active duty in the U.S. Marine Corps and was honorably discharged. He decides to buy a home and exercise his VA benefit. He can buy the house and only pay closing costs (no down payment needed).
